DESCRIPTION
The Drumbeg Hotel benefits from a stunning and tranquil trading location in a charming setting. The business sits in an elevated position within the small village of Drumbeg overlooking some of the most rugged terrain in the British Isles. The remoteness of the hotel attracts a broad range of clientele who take to the Scottish Highlands to enjoy its natural beauty.
The Hotel offers the three main income streams being beverage sales, catering and guest accommodation. Accommodation sales are mainly generated from tourists in the season from Easter to September who largely pre-book. Some accommodation income is also generated through local and business-to-business guests. There is also an element of passing trade. The dining room is well presented and is popular with tourists. This well-appointed and most comfortably furnished facility, with views to Loch Drumbeg, is well utilised for suppers providing a relaxed cosy experience. The present owners choose not to open at lunchtimes but new proprietors who wish to develop the food trade could take advantage of this opportunity.
The current proprietors operate the hotel on a seasonal basis through personal choice. They undertake the lion’s share of the work themselves with some casual help. There is therefore scope to develop trade further through the provision of an extended service in the shoulder months. However, it may be considered a major attraction of operating in this locality that the hotel attracts sufficient business during the busy main trading period to afford a quality of lifestyle associated with seasonal trading patterns.
REASON FOR SALE
The vendors purchased the property in June 2016 and it has provided them with an excellent home and income. During their tenure they have improved the fabric of the building providing a great platform to develop the business further. The vendors believe that new owners who are prepared to invest in the business could develop the hotel further making it a landmark business and destination location. It is the owners wish to retire from the hospitality industry which places this attractive business on the market.
TRADE
The business operates mainly seasonally, opening from April to October, and only opens 5 days a week. Over the summer months the customer base is mainly drawn from the many tourists who visit and travel on the NC500. The business also draws in a high level of repeat custom and is highly commended on numerous visitor review websites. During the off-season months, the business is closed, including the bar. Drumbeg Hotel offers flexibility both in terms of the operational possibilities and physical layout. The business could trade as a café with rooms, restaurant with rooms, small hotel or on a bed and breakfast basis only. The licensed wet sales and evening meals provide additional income streams and could be developed further.
The current owner’s efforts have generated a well-established business with a strong trading reputation. Drumbeg Hotel benefits from a modern website with a “freetobook” feature. They have a good social media presence and utilise a number of portal websites such as booking.com. The vast majority of room occupancy is pre-booked and forward bookings are always at a high level.
DEVELOPMENT OPPORTUNITY
The following may present additional income opportunities by adjusting the current trading model as follows:
Opening 6 or 7 days per week
Opening the bar throughout the year
Introduction of evening meals
Introduction of lunches or light snacks / café and takeaway service
THE PROPERTY
The hotel is arranged over two floors with the original building dating back to the mid-1700s with modern and sympathetic extensions. The original building is of stone construction with other aspects being timber frame and block construction. The roof is profiled metal sheet. The property is double glazed.
PUBLIC AREAS
The hotel’s main entrance opens into a vestibule and thereafter into a relaxing lounge area set with soft furnishings; this seated area has beautiful views to the Loch. A raised area provides access to the reception hatch and onwards to the lounge bar which has two distinctive areas; one with a pleasant wooden bar with well-stocked gantries and the games room with a hotel owned pool table. Off the lounge bar area are ladies and gents’ washrooms. The dining room is set to the left of the reception area and is also defined by two distinct areas. The main dining area has double aspect windows with wonderful scenic views, an attractive solid fuel fire and seats for circa 14 diners. The second aspect of the dining area is a cosy room which has modern soft furniture suitable as a comfortable pre-dinner drinks area or relaxed after meal coffee space. There are additional washrooms off the reception hallway. All public areas are presented in great walk-in condition but new owners may wish to place their own stamp on decor etc.
LETTING ACCOMMODATION
The hotel has six en-suite letting bedrooms. The rooms have ample storage and are well-appointed with TVs and hospitality trays.
The rooms located on the ground floor are configured as follows:
Room 1 – Twin bedroom with en-suite shower and soft seating
Room 2 – Twin bedroom with en-suite shower and soft seating
Room 3 – Double bedroom with en-suite shower and soft seating
Room 4 – Double bedroom with en-suite shower and soft seating
The rooms located on the first floor are configured as follows:
Room 5 – King-size (zip and link) bedroom with en-suite shower and soft seating area
Room 6 – Double bedroom with en-suite shower and soft seating area
OWNERS ACCOMMODATION
The spacious owner’s accommodation is an attractive feature of this property and comprises a commodious open-plan lounge-dining room on the ground floor with two double bedrooms sharing a large family bathroom on the first floor. The owner’s private facilities afford a comfortable and relaxing environment away from the service and public areas with a separate access. The lounge leads onto an area of decking offering stunning views over the Loch beneath the village.
SERVICE AREAS
The hotel has a tidy, well-equipped kitchen with a full commercial catering capability and vented extractor system. The kitchen is centrally located which is ideal to support food service to the bar and dining room. There is ample kitchen support areas and storage including laundry, beer cellar and spirit store. The hotel has an extended attached garage with a laundry facility to its rear; the garage is used as a workshop and store.
GROUNDS
The subjects are located within the village of Drumbeg on the main road. There is car parking to the front of the hotel which can accommodate 12 standard vehicles. There is a decking area to the side of the building with seating to the rear of the subjects.
SERVICES
The subjects benefit from mains electricity, water supply and drainage. There is oil fired central heating. The building is double glazed and has a hardwired fire alarm system.
